The world’s economy is increasingly service-based. More than 75% of GDP in the developed markets including Hong Kong is already services based. Service innovation – not only in services but also in manufacturing sectors – is already becoming a significant transformational force for these developed economies. This workshop provides participants with: (1) an overall understanding of the fundamental ways by which a firm’s knowledge-based organizational capabilities enable service innovation and how these capabilities must be configurable and aligned with the enterprise strategy for superior value co-creation with the customers; (2) a holistic and in-depth understanding of prevailing practical methods for developing and aligning the service innovation models, processes and operations with both the espoused enterprise strategy and customer value proposition to achieve sustainable competitive advantage; and (3) to relate and assess the suitability of the strategy-aligned service innovation concepts, models and methods for their own organizations. Furthermore, to operationalise the above, the Workshop also focusses on the key business concepts and technologies for organizations to orchestrate service innovations. Among others, agile organisations need to possess dynamic capabilities, constantly explore new business models, and foster quality process management via good governance and flexibility. Advancements in Cloud Computing and Business Process Management (BPM) provide the much needed business and technological support for organisations to practice the above. The Cloud provides far more than just scale-able IT infrastructure but increasingly being seen as a compelling force for engineering on demand business innovations. Cloud-based services can be charged as pay by usage hence shielding many businesses from the risks that are commonly associated with launching a new business venture. In the Cloud, expertise, solutions and creative ideas can be sourced as well as the design and execution of collaborative Knowledge Work.